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Commerce Awards $23.7 Million in Coal Endowment Grants to 39 Communities

June 6, 2025

The Montana Department of Commerce announced Thursday that 39 cities, towns, counties, and water and sewer districts across the state will share more than $23.7 million in grant funding through the Montana Coal Endowment Program (MCEP), supporting critical infrastructure improvements ranging from water and wastewater system upgrades to bridge replacements.

“MCEP project grant funding is focused on addressing health and safety problems as well as the financial needs of cities, towns, counties and districts that apply to replace aging collection or distribution systems, to newly construct or repair treatment facilities and to repair or replace bridges,” said Acting Commerce Director Mandy Rambo.

The program, funded by interest earned on Montana’s coal severance tax revenue, is designed to help local governments lower the cost of essential public facility construction by offering financial support for costly infrastructure projects.

Among the recipients, the Town of Circle will receive $750,000 to replace water mains, while the City of Roundup will receive the same amount for major wastewater system upgrades, including sludge removal and new power infrastructure. The Town of Whitehall will also receive $750,000 to replace aging water mains. The list of funded projects spans the state, with grants awarded for water storage tanks, sewer main replacements, treatment lagoon improvements, and bridge rehabilitation.

One of the larger bridge-related grants will go to Madison County, which received $750,000 to replace the Silver Springs Bridge. Lewis and Clark County will also benefit, with funding to replace the Augusta Clemons Road Bridge.

Yellowstone County Commissioner John Ostlund noted the significance of MCEP funding, pointing to a $750,000 grant received in 2023 to replace the Danford/56th Bridge. “The Danford/56th Bridge is a crucial link in our transportation infrastructure,” Ostlund said. “The MCEP funding was instrumental in helping us expedite repairs on this critical project without significantly impacting progress on the hundreds of other structures Yellowstone County is responsible for.”

The full list of recipients includes both rural and urban communities, demonstrating the program’s broad impact on improving quality of life, public safety, and economic development across Montana.

Eligible applicants for MCEP funding include incorporated cities and towns, counties, consolidated or tribal governments, and multi-jurisdictional water, sewer, or solid waste districts. The program continues to be a key resource for Montana communities seeking to modernize their infrastructure while maintaining fiscal responsibility.

By: DNU staff

Filed Under: News

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